Question

What is the difference between internal trade and international trade?

Answer 1

hey mate here's your answer......

Difference on basis of -:

•Means:

Internal trade refers to the trade within the borders of the country.

External Trade refers to the trade between two or more countries.

•Exchange of currencies:

There is no exchange of currencies takes place in the Internal Trade because there is a same currency in the country

External Trade involves the exchange of currencies between the nations which are involved in the trade.

•Restrictions :
Internal trade usually doesn't have any restrictions on movement inside the country

External Trade is subjected to many restrictions on transfer to certain goods to certain countries.

•Transportation costs:

Internal Trade generally has fewer transportation costs and risks to transfer the goods.

External Trade involves very high transportation costs and risky situations to transfer goods from one country to another

.....hope this helps you.....